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Councillor of Finance, Industry and Employment |

Clearly managers PP were not as good as proclaimed, because we have delivered a legacy of those that nobody wants to receive a legacy result of mismanagement and bad administration carried out by the previous government team, which has governed the fate of Caravaca de la Cruz for the past 16 years.

The outgoing municipal corporation, by the sovereign will expressed at the polls, was not only an organizational maze tissue, but also left a debt to suppliers, more than 8 million euros in unpaid bills, of which 2 million They were unaccounted for.

Add to that bank obligations to the banks and the implementation of numerous court decisions that threaten the interests of the City, it is clear that the municipal economy, is far less worrisome.

These are the reasons for the adhesion of the local consistory Fund Management Measures Financial Sustainability of the Autonomous Communities and Local Authorities which was adopted at the last extraordinary plenary session, the City of Caravaca de la Cruz.

This plan improves the liquidity of the municipal coffers, to reorganize the share of non debt generated by Supplier Payment Plans, which dated July 31, 2015 amounts to almost 14 million, since the annual quotas set budgets for both the amortization of capital and interest payments, you are postponed in time, with a clear decline in its annual amount.

In addition, the refinancing is done at zero interest, without the City of Caravaca have to pay any fee for the remainder of 2015 and throughout 2016. For example: for the year 2017, the City will only pay 45,215 euros for the part corresponding to 13,611 principal and interest, on the 1,687,831 that would correspond satisfy both concepts in the annuity.

By reducing the volume of these financial obligations, necessarily liquidity will be improved, and thus the average payment to suppliers, which is far from the 30 days specified in the legislation.

Royal Decree-Law 17/2014 of 26 December provides that the use of the financing is for the cancellation of credit operations and requires an adjustment plan which does not involve any tax increases, but basically consists approval in all the measures already taken by the force since 2014 until 2032.

However, despite the constraints that we are under our management, we will continue working in a different way, with patience, wisdom and above all responsibility, by adopting clear and effective measures that allow us to clean up the accounts of our City and achieve someday financial sustainability.

Source: Agencias